tmmonline.nz  |   landlords.co.nz        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Thursday, December 5th, 7:44PM

News

rss
Latest Headlines

Revised Code back in the Commissioner's hands

The Code Committee has today submitted a revised draft Code to the Commissioner for Financial Advisers for approval.

Friday, August 20th 2010, 3:53PM 1 Comment

Code Committee chairman Ross Butler says the amendments have been made in three areas in response to directions given by the Commissioner to ensure that the Code is consistent with the Financial Advisers Act 2008. 

The main amendments made by the Committee are:

Firstly, the description of the financial adviser services requiring authorisation as set out in the Background to the Code has been updated to accord with changes to the Act that came into force on 1 July 2010. It now includes detail stating that financial advisersare required to be authorised under the Financial Advisers Act in order to provide a personalised service to a retail client.

Secondly, an explanatory note has been added to Code Standard 5 clarifying both its limited application and the fact that an authorised financial adviser (AFA) may not provide financial advice to a retail client in relation to the acquisition of a financial product that is not able to be lawfully offered to the client.

Thirdly, a note has been added to Code Standard 8 clarifying that where a client has sought personalised advice from an Authorised Financial Adviser, but has opted out of receiving a suitability assessment such that the Adviser ends up providing a class service, the adviser must comply with Code Standard 10.

Butler says assuming that the Code is approved by the Commissioner, and subsequently by the Minister, it is likely that the first advisers will be authorised from 1 December 2010. 

He encourages advisers to take advantage of the many resources provided by the sector and by training providers, to ready themselves for the new regime.

Butler says next week the Committee will also be publishing a paper summarising  major issues considered by the Committee in response to submissions made on the second draft of the Code.

The paper will also reflect the Committee's thinking on the three matters raised by the Commissioner this week.

Butler wishes to thank the members of the Code Committee for the professional contributions they have made to the development of the draft Code.

"I appreciate that they each have other demanding roles, and I acknowledge the personal and corporate sacrifices and investment they have made."

He also wishes to acknowledge the very useful contributions made by consumers, advisers, their companies and professional bodies and by other stakeholders.

He says the Committee appreciates their involvement in the development of the draft Code and their active participation throughout this comprehensive consultation process.

 

« Associations tell Govt to hurry up on fix upsAdviser regulation blows the budget »

Special Offers

Comments from our readers

On 25 August 2010 at 9:16 pm Jeff Royle said:
I am continually amazed at the antics in this important arena. I have been trying to get my exams under my belt, the facilitator took the money, I started the course only to be told that I can't finish it because the Government have not finalised the legislation on which the exam is based. Only in New Zealand can such a srewup happen and be accepted as 'the Kiwi way'
Commenting is closed

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
  • Partners kills its matrix
    “@Backstage, thanks. I agree there is no relationship to CoFI, though, from a service perspective, I have two other providers...”
    2 days ago by JPHale
  • Partners kills its matrix
    “Partners Life has decided to stop using its COM for advisers as it believes the system may breach the CoFI regulations which...”
    2 days ago by Amused
  • Partners kills its matrix
    “Insurance companies should stick to their lane. They are not advisers and even those that employ advisers should not be crossing...”
    2 days ago by Tash
  • [GRTV] The nitty gritty of Smart’s ETFs
    “Advisors should consider all gateways into investment markets including cheaply priced ETFs to provide access to low priced...”
    3 days ago by Pragmatic
  • DRS member or not - client care remains advisers’ responsibility
    “FAPs are members of DRS too. Substitute “adviser” for “FAP” and the story is actually a lot more accurate. If...”
    3 days ago by Aggressively_passive
Subscribe Now

Mortgage Rates Newsletter

Daily Weekly

Previous News

MORE NEWS»

Most Commented On
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
 
Site by Web Developer and eyelovedesign.com